DB:3AL

Stock Analysis Report

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Executive Summary

ALD S.A., together with its subsidiaries, provides service leasing and vehicle fleet management services.


Snowflake Analysis

Average dividend payer and fair value.


Similar Companies

Share Price & News

How has ALD's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 3AL's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

7.0%

3AL

4.2%

DE Transportation

2.2%

DE Market


1 Year Return

-29.9%

3AL

-32.6%

DE Transportation

-3.9%

DE Market

Return vs Industry: 3AL exceeded the German Transportation industry which returned -32.8% over the past year.

Return vs Market: 3AL underperformed the German Market which returned -4.5% over the past year.


Shareholder returns

3ALIndustryMarket
7 Day7.0%4.2%2.2%
30 Day31.2%6.1%8.0%
90 Day-21.1%-31.0%-9.6%
1 Year-26.9%-29.9%-30.0%-32.6%-2.3%-3.9%
3 Yearn/a-23.8%-31.8%-7.6%-14.8%
5 Yearn/a-8.6%-23.3%-0.3%-12.9%

Price Volatility Vs. Market

How volatile is ALD's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is ALD undervalued compared to its fair value and its price relative to the market?

7.23x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 3AL (€9.24) is trading above our estimate of fair value (€8.07)

Significantly Below Fair Value: 3AL is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 3AL is good value based on its PE Ratio (7x) compared to the Transportation industry average (8.6x).

PE vs Market: 3AL is good value based on its PE Ratio (7x) compared to the German market (18.6x).


Price to Earnings Growth Ratio

PEG Ratio: 3AL is poor value based on its PEG Ratio (1.1x)


Price to Book Ratio

PB vs Industry: 3AL is good value based on its PB Ratio (1x) compared to the XE Transportation industry average (1.1x).


Next Steps

Future Growth

How is ALD forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

6.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 3AL's forecast earnings growth (6.4% per year) is above the savings rate (0.2%).

Earnings vs Market: 3AL's earnings (6.4% per year) are forecast to grow slower than the German market (21.7% per year).

High Growth Earnings: 3AL's earnings are forecast to grow, but not significantly.

Revenue vs Market: 3AL's revenue (5.4% per year) is forecast to grow slower than the German market (5.6% per year).

High Growth Revenue: 3AL's revenue (5.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 3AL's Return on Equity is forecast to be low in 3 years time (11.7%).


Next Steps

Past Performance

How has ALD performed over the past 5 years?

6.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 3AL has high quality earnings.

Growing Profit Margin: 3AL's current net profit margins (5.6%) are lower than last year (6.1%).


Past Earnings Growth Analysis

Earnings Trend: 3AL's earnings have grown by 6.8% per year over the past 5 years.

Accelerating Growth: 3AL's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 3AL had negative earnings growth (-0.6%) over the past year, making it difficult to compare to the Transportation industry average (0.6%).


Return on Equity

High ROE: 3AL's Return on Equity (13.8%) is considered low.


Next Steps

Financial Health

How is ALD's financial position?


Financial Position Analysis

Short Term Liabilities: 3AL's short term assets (€3.7B) do not cover its short term liabilities (€8.4B).

Long Term Liabilities: 3AL's short term assets (€3.7B) do not cover its long term liabilities (€13.2B).


Debt to Equity History and Analysis

Debt Level: 3AL's debt to equity ratio (456.9%) is considered high.

Reducing Debt: 3AL's debt to equity ratio has reduced from 537.9% to 456.9% over the past 5 years.

Debt Coverage: 3AL's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: Insufficient data to determine if 3AL's interest payments on its debt are well covered by EBIT.


Balance Sheet


Next Steps

Dividend

What is ALD's current dividend yield, its reliability and sustainability?

6.40%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: 3AL's dividend (6.6%) is higher than the bottom 25% of dividend payers in the German market (1.37%).

High Dividend: 3AL's dividend (6.6%) is in the top 25% of dividend payers in the German market (4.19%)


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, 3AL has been paying a dividend for less than 10 years.

Growing Dividend: 3AL's dividend payments have increased, but the company has only paid a dividend for 2 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (46.3%), 3AL's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: 3AL's dividends in 3 years are forecast to be well covered by earnings (46.6% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.2yrs

Average management tenure


CEO

Tim Albertsen (56yo)

0.17

Tenure

€769,400

Compensation

Mr. Tim T. Albertsen has been Chief Executive Officer of ALD Automotive at Société Générale SA since March 2020. He has been Chief Executive Officer of ALD S.A. since March 27, 2020 and served as its Direc ...


CEO Compensation Analysis

Compensation vs Market: Tim's total compensation ($USD838.13K) is below average for companies of similar size in the German market ($USD2.69M).

Compensation vs Earnings: Tim's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Tim Albertsen
Chief Executive Officer0.17yr€769.40k0.0019% 73.5k
John Saffrett
Deputy Chief Executive Officer1.08yrs€880.85kno data
Gilles Bellemere
Deputy Chief Executive Officer3.17yrs€456.48k0.00045% 17.9k
Gilles Momper
Chief Financial Officer8yrsno datano data
Hans van Beeck
Chief Administrative Officer & Head of Investor Relations1.33yrsno data0.00050% 19.9k
Anna Woodward
Legal and Compliance Director3.17yrsno datano data
Stéphane Rénie
Sales & Marketing Director3.17yrsno datano data
Jeremy Cleary
Head of International Sales - New Business3.5yrsno datano data
Thierry Faure
Head of Client Relations3.17yrsno datano data
Kent Bjertrup
Chief Commercial Officer4.33yrsno datano data

3.2yrs

Average Tenure

54yo

Average Age

Experienced Management: 3AL's management team is considered experienced (3.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Christophe Périllat-Piratoine
Independent Director2.92yrs€40.00k0.00025% 9.9k
Didier Hauguel
Director10.92yrsno data0.00050% 19.9k
Xavier Durand
Independent Director2.92yrs€72.00k0.00027% 10.7k
Philippe Heim
Chairman & President1yrno datano data
Nathalie Leboucher
Independent Director2.92yrs€48.00k0.00025% 9.9k
Michael Masterson
Director14.25yrs€1.17m0.0027% 109.3k
Patricia Lacoste
Independent Director2.92yrs€60.00k0.00042% 16.7k
Karine Destre-Bohn
Director8.5yrsno data0.000060% 2.4k
Bernardo Sanchez-Incera
Director1.75yrsno datano data
Delphine Garcin-Meunier
Director0.50yrno datano data

2.9yrs

Average Tenure

54.5yo

Average Age

Experienced Board: 3AL's board of directors are not considered experienced ( 2.9 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

ALD S.A.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: ALD S.A.
  • Ticker: 3AL
  • Exchange: DB
  • Founded: 1946
  • Industry: Trucking
  • Sector: Transportation
  • Market Cap: €3.973b
  • Shares outstanding: 403.38m
  • Website: https://www.aldautomotive.com

Number of Employees


Location

  • ALD S.A.
  • 1-3 Rue EugEne et Armand
  • Peugeot Corosa
  • Rueil-Malmaison
  • Ile-de-France
  • 92500
  • France

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ALDENXTPA (Euronext Paris)YesOrdinary SharesFREURJun 2017
0RSPLSE (London Stock Exchange)YesOrdinary SharesGBEURJun 2017
3ALDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJun 2017
ALDPBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEURJun 2017
ALLD.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJun 2017

Biography

ALD S.A., together with its subsidiaries, provides service leasing and vehicle fleet management services. Its products and services include full service leasing, fleet management, outsourcing solutions, and sale and lease back; fleet consultancy; tools and services for fleet managers and drivers; and maintenance, assistance, availability of a vehicle, and tire management services. The company is also involved in trading used cars and light commercial vehicles; and the retail sale of vehicles. It operates in Western Europe, Central and Eastern Europe, Northern Europe, South America, Africa, and Asia. ALD S.A. was founded in 1946 and is based in Rueil-Malmaison, France. ALD S.A. is a subsidiary of Société Générale SA. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/05/26 00:09
End of Day Share Price2020/05/25 00:00
Earnings2020/03/31
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.